This blog is written by Rhonda Beckmann the new SVP, Growth at Setup and Business Development Guru | Strategizing & Guiding Growth.

With nearly two decades in agency growth, I have devoted my career to helping agencies unlock their full growth potential. My journey has involved working with smaller boutique agencies to global leaders, always emphasizing the critical drivers of success: nurturing meaningful relationships, creating custom client solutions, and cultivating high-performing teams. I have learned that agency growth is not solely about acquiring big clients; it's about recognizing an agency's uniqueness and using its strengths to build trust-centered partnerships. This mindset has allowed me to match marketers with the right agencies, ensuring a strategic fit that benefits both parties. I am passionate about helping agencies realize the power of B2B strategies to attract the right clients and foster long-term, sustainable growth. My approach is straightforward: understand your value, align with the clients who need it most, and establish lasting partnerships.

Marketing Agencies are the go-to experts for helping businesses grow. They craft smart strategies, spark fresh ideas, and navigate the tricky waters of market challenges with ease. Yet, there is a glaring irony in the industry: many marketing Agencies, despite their mastery in growing other businesses, often struggle to apply those same winning strategies to their own growth. 

The Marketing Paradox

Marketing Agencies live and breathe brand building, audience targeting, and boosting sales. They’re pros at using SEO, content marketing, and the latest tech to drive Client results. But when it comes to growing their own business, these same Agencies often drop the ball.

It’s the classic case of “the cobbler’s children have no shoes.” Agencies are so focused on getting results for their Clients that they forget to invest time and effort into their marketing. The result? A growth strategy that’s more about reacting to problems than planning for success, leading to missed opportunities and slower progress. 

Playing Safe, Paying the Price

Today’s marketing world is full of both big risks and big rewards. Nearly 34% of Agency owners are worried about economic uncertainty, while 25% are concerned about how fast AI is changing the game (AgencyAnalytics). On the flip side, AI is also opening up new possibilities, with 90% of marketers seeing its huge impact on content creation (HubSpot).

In this ever-changing landscape, Agencies need to ask themselves: Are we using the same innovative growth strategies that we recommend to our Clients?

The B2B Blind Spot

Marketing Agencies operate in a B2B space, but many don’t fully tap into this for their growth. Sure, 87% of Agencies use SEO to boost their visibility, and 91% rely on content marketing to attract potential Clients (Databox), but how many are truly optimizing these strategies to grow their businesses?

A smart B2B approach isn’t just a good idea—it’s essential. This means not just creating content, but also making sure it’s aimed at the right audience—potential Clients who are the perfect fit for what your Agency offers.

Missing the Mark

One of the most important but often overlooked steps in Agency growth is knowing who your ideal Clients are. Without a clear picture of who they are, Agencies risk spreading themselves too thin, trying to be everything to everyone. This can weaken their expertise, strain Client relationships, and lead to Agency staff burnout.

Data-driven decision-making is the key here. Agencies that dig into their Client data can better target and attract the right Clients. Knowing your ideal Client allows you to focus your efforts where they’ll make the most significant impact, leading to steady and sustainable growth. 

The Client Chase

Landing new clients is a significant challenge for many agencies, with 37% citing it as their biggest concern (AgencyAnalytics). It’s no secret that referrals and word-of-mouth are often the golden ticket—nearly half of agency leaders agree that these are the best ways to bring in new business. In fact, Setup’s own Marketing Relationship Survey, which has been running for six years, consistently shows that word-of-mouth and referrals are the top methods clients use to find new agency partners.

But here’s the kicker: despite knowing this, many agencies still don’t fully tap into the power of referral marketing. The constant push to chase new business can stretch teams too thin, risking burnout and a dip in service quality. Instead of spreading themselves too thin, agencies should double down on their existing client relationships. By delivering outstanding service and nurturing these connections, agencies can naturally encourage their happy clients to refer others. In the end, your best new clients often come from those who already know and love your work.

AI Supercharge

AI isn’t just a buzzword—it’s a game-changer for marketing Agencies. While 69% of Agencies are still getting their feet wet with AI, many are starting to invest in tools like predictive analytics, personalized content, and automation (HubSpot). These tools can greatly improve how Agencies operate, making them more efficient and better at delivering Client results.

But the key isn’t just using AI—it’s integrating it into your growth strategy. Agencies that embrace AI will be better equipped to thrive in a fast-moving market.

Revenue Roulette

Agencies aiming for consistent growth are increasingly recognizing the importance of financial stability. According to Databox, over 50% of agencies are now shifting towards recurring revenue models to ensure a steady income. This transition away from the unpredictability of project-based work helps agencies avoid the financial rollercoaster, providing a reliable revenue stream that enables better long-term planning.

By adopting recurring revenue models, agencies not only secure financial stability but also gain the flexibility to invest in their growth. Whether it’s hiring new talent, upgrading technology, or expanding marketing efforts, the predictable income from recurring services allows agencies to make strategic decisions with confidence, ultimately leading to sustained growth and the ability to navigate economic uncertainties.

Walk the Talk

For marketing Agencies, the growth path is simple: walk the talk. This means using the same strategies you recommend to your Clients to grow your business. By focusing on B2B strategies, finding the right Clients, embracing AI, and ensuring financial stability Agencies can achieve steady, sustainable growth.

A growth mindset is the secret sauce. It’s not just about doing what you know works—it’s about always looking for ways to improve, adapt, and grow. At Setup, we understand the unique challenges that Agencies face. We’re here to help you navigate these challenges and reach your full potential. Let’s work together to drive your growth and connect you with the right opportunities.

Read part two to this blog: Is Your Agency Missing the B2B Boom While Chasing the B2C Bust?